Pioneer Resources (ASX: PIO) has released its half year accounts, showing a robust bank balance of $2.5 million, and an equally robust project portfolio.
Pioneer's flagship asset is the Acra gold project neat Kalgoorlie, where it recently intersected more high grade gold, including 11 metres at 3.77g/t and 3 metres at 5.44g/t.
The new holes were drilled at Kalpini South along strike from earlier high grade hits such as 10 metres at 6.38g/t gold from 61 metres, and 9 metres at 5.31g/t gold.
Importantly, mineralisation remains open in all directions, which bodes well for future exploration and resource definition.
And the high grade gold intersections to date have been found at a range of depths at Acra, which could yield a number of gold deposits.
Being just 60 kilometres from Kalgoorlie, Acra is obviously very close to existing gold mining specific infrastructure, which will reduce gold production costs and offers potential for early cash flows.
In addition, the company recently defined an initial high grade nickel resource of 222,710 tonnes at 2.92% nickel at the Blair Nickel Mine within its Golden Ridge project.
This is an underrated and undervalued project, and could, in itself, help move the Pioneer share price forward.
With a little more market awareness, which would come with an announcement to bring the mine back into production, and further increases in the nickel price, Blair's inherent value should be more evident.
The Blair mine is aided by proximity to existing infrastructure, and an existing offtake agreement with BHP Billiton (ASX: BHP).
While the company is focused on its Acra Gold Project, the Golden Ridge Project is shaping up to be a second arrow in its quiver.
Pioneer also maintains an interest in the Fairwater nickel-copper sulphide project in the Albany-Fraser Province, where an electromagnetic survey and soil geochemistry is planned.
Capitalised at around $5.5 million, with almost half that in cash, high grade gold exploration assets, a defined nickel deposit with a BHP offtake, a rising nickel price, and Fraser Range interests, its hard to argue that Pioneer is not undervalued.